Abacus Takes up $160m of Storage King Assets

6 July 2021

Abacus has agreed term to acquire another 5 Storage King assets in Sydney for $160m.

The portfolio of five assets provides more than 25,000 square metres of net lettable area (NLA) and comprises:

  • three mature stores located in Chatswood, Artarmon and St Leonards,
  • one store in the later stage of stabilisation located in Dee Why, and
  • one recently developed store located in Pymble.

Settlement of the acquisition is expected on 3 August 2021 and will be funded from existing debt facilities.

Managing Director, Steven Sewell commented “The assets are located within tightly held catchments, benefitting from significant self storage demand generated from above average household incomes, large proportions of renters and continually increasing densilty from apartment development. The transaction also demonstrates the sustained acquisition pipeline generated from the Storage King platform.”

“This transaction aligns with our strong asset backed, annuity style business model where capital is directed towards assets in key sectors that provide potential for enhanced income growth and ultimately create value. Our people, market insight and repositioning capability together with customer focused brand management are the key enablers of our strategy.”

Self Storage is a key sector for Abacus having made its first investment in 2005 and since then actively accumulating a portfolio of 81 locations, with a valuation of over $1 billion as at 30 June 2020, all exclusively managed by Storage King. In November 2020, Abacus acquired the remaining 75% interest in the Storage King operating platform for $50m, providing it with full control over the development pipeline of the business.

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